US state with highest tax burden pauses plan to tax every crypto transaction
BlockBeats news, October 2 — In June of this year, Illinois introduced a tax policy that no other U.S. state had previously attempted. Whenever someone buys cryptocurrency, sells cryptocurrency, or even just transfers their crypto assets from one wallet to another, the state imposes a 0.2% tax. Whether the trader makes a profit or a loss does not affect the tax. In other words, simply using cryptocurrency itself may trigger a taxable event.
On Thursday, Illinois agreed to pause implementation of this new policy. According to a court document, state officials and crypto industry organizations jointly asked a Sangamon County judge to delay the tax's implementation date from January 1, 2027, to July 1, 2027. It still awaits the judge's approval.
